Tesla operates a battery-making plant in Nevada with Panasonic. The facility is set to be upgraded to yield 10 percent more production.
Tesla has completed Megacharger installation at Giga Nevada in preparation for the Semi truck.
The improvement doesn’t include adding a new production line. Panasonic will reportedly achieve this by optimizing the existing line.
Panasonic will, however, set up a new battery plant in Kansas, where it will likely produce Tesla’s new 4680 battery cells. It will come online in 2024, at the earliest. The optimization at the existing facility will help Tesla expand its EV production before the second plant is ready.
Nikkei Asia reports Panasonic will bring in its production supervisors from Japan to handle the optimization. This should increase Giga Nevada’s output to about 43 GWh per year. The publication also notes that the company wants to increase the efficiency of its US operation to the same level as its home country. Panasonic operates a plant in the city of Osaka.
The optimized plant will allow Tesla to have enough 2170 battery cells for its Model 3 and Model Y. It will also help Panasonic compete with other battery giants, including CATL and LG Energy Solution.
Meanwhile, Panasonic has agreed to a deal with Redwood Materials on recycled materials. Panasonic is also building a new R&D campus in Reno, Nevada.